Quote:
Originally Posted by Robbb
I was just looking at returns over the past 15 years, If you invested $1,000 in Vanguard Total Bond fund it would be worth app $931, today, after all interest was reinvested. If you invested that same $1,000 in Vanguard VTI, Total market fund, it would be worth $2,090 today.
As pretty much a Boglehead in investing I'm really starting to question the wisdom of investing in any bond fund.
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When I was still in high school, I "invested" $500 from my meager grocery store clerk salary, $250 in a very well know bond fund and $250 in a total stock market fund. Never lost $250 of my desperately needed college money so fast, but fortunately, while the stock fund also took some hard hits, it more than made up for the bond fund loss. Over my college and grad school years, it was clear that my decision to continue to increase my knowledge of investing, and particularly the stock market and it's historic returns, really paid off for me for a life time. I remember one of the first books I read related what people who committed suicide would have had if only they had not taken that drastic step to end their lives.... I think that was one of the things that impressed me most, that "if only" they had faith they would have become multimillionaires in less than 5 years after the recovery...